Future Value Calculator
Calculate the future value of your investments with compound interest. Plan for your financial goals with our powerful FV calculator.
Understanding Future Value
Future Value (FV) is the value of a current asset at a specified date in the future based on an assumed rate of growth. It’s a fundamental concept in finance that helps investors understand how much an investment made today will grow over time.
Future Value Formula
Where:
FV = Future Value
PV = Present Value (starting amount)
PMT = Periodic deposit
r = Interest rate per period
n = Number of compounding periods
Key Applications
- Retirement planning calculations
- Savings goal projections
- Investment growth forecasting
- Comparing financial products
Calculate Future Value
Future Value of Investment
Total Contributions
Interest Earned
Annual Growth Rate
Investment Growth Over Time
Understanding Future Value
Future value calculations help you understand the power of compound interest and the importance of starting early with your investments.
Compound Interest
Compound interest is the addition of interest to the principal sum, or interest on interest. It’s the result of reinvesting interest rather than paying it out.
Time Value of Money
A dollar today is worth more than a dollar tomorrow. Future value calculations account for this by showing how money can grow over time when invested.
Regular Contributions
Adding regular deposits to your investment significantly boosts future value through dollar-cost averaging and compound growth.
The Power of Compounding
Compound interest is often called the “eighth wonder of the world” because it allows wealth to grow exponentially over time. The formula for compound interest is:
Where:
A = the future value of the investment
P = the principal investment amount
r = annual interest rate (decimal)
n = number of times interest is compounded per year
t = time in years